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Sample investment memo · Illustrative

Marasi Riverside, Tower B

Business Bay1 bed · 742 sq ftOff-plan

For rental income at this price, we would proceed.

A stone terrace with a linen lounger and an olive tree above a still canal, residential towers across the water in a warm haze. Illustrative.
Asking price
USD 441,116(AED 1,620,000)Developer price list, 22 Aug 2026
Annual net income
USD 23,924(AED 87,860)Base case, after costs
Net yield, base case
5.4%Range 4.3% to 6.0%
Confidence
ModerateCould move to high

This view applies to

Rental income
Proceed
Capital appreciation
Would not proceedThe 2027 supply caps the exit for the first two years.

The objective changes the conclusion.

Explore the investment caseDownload formal memo (PDF)

Illustrative sampleJH-2588Figures as at 22 Aug 2026Not an offer

A freehold one-bedroom of 742 sq ft, mid floor, off-plan, with handover stated for Q3 2028.

The service charge is modelled on the delivered tower's budget, not the brochure estimate. The developer's record is one delivery, four months late.

Size
742 sq ft
Unit
1 bedroom
Tenure
Freehold
Handover
Q3 2028
Schematic plan of a one-bedroom apartmentA one-bedroom apartment drawn as a schematic: living room, bedroom, bathroom, kitchen and balcony inside one outline, an entrance door, and, beyond a dashed line, one allocated parking bay outside the apartment. Three numbered markers point at what the plan can show: the layout, the registered area and the parking; the numbers match the facts beside the drawing.
Schematic of a one-bedroom apartment, not the property’s own plan and not to scale. No dimensions are drawn.

Each figure, and where it comes from

Asking price
USD 441 K (AED 1.62 M)Developer price list, 22 Aug 2026
Layout and area
1 bed, 742 sq ft, mid floorSale agreement plan
Tenure
Freehold, one allocated parking spaceSale agreement
Stated handover
Q3 2028Developer, 22 Aug 2026
Service charge
3.87 USD / sq ft (AED 14.20) per year2026 budget of the delivered tower
Developer delivery record
First tower delivered within four months of its stated dateHandover notices, 2025

The 2027 supply caps the exit for the first two years.

For capital appreciation we would not proceed; for income the comparables hold.

  1. 2022First tower in the community deliveredDelivered
  2. 2025Second tower delivered, four months late, let within a quarterDelivered
  3. 2027 to 2028About 1,900 units scheduled to complete in Business BayScheduled or stated
  4. Q3 2028Stated handover for this towerScheduled or stated
Read the market note

Two towers delivered in the community by this developer since 2022, both let within a quarter of handover. Roughly 1,900 units are scheduled to complete in Business Bay across 2027 and 2028, which is more than the last two years combined; absorption over the last twelve months ran ahead of that pace, but not by much.

The case does not depend on the upside.

The downside clears 4.3% net. The upside is not evidenced in this sample and is shown as such. It depends on absorption holding through the first delivery wave.

  1. Downside

    4.3%Net yield

    Rent
    8% below the comparables (changes from the base case)
    Void
    Eight weeks a year (changes from the base case)
    Exit yield
    One point wider (changes from the base case)

  2. BaseModelled case

    5.4%Net yield

    Rent
    As the comparables
    Void
    Four weeks a year
    Exit yield
    As today

  3. Upside

    6.0%Net yield

    Not evidenced in this sample. Shown so the range is honest, not because it is expected.

Priced with the market.

The service charge is what makes the income work. Net income of 5.4% of the asking price in the base case, after the void, the charge and management.

  1. Gross rentUSD 30,688(AED 112,700)
  2. Void, four weeks a year−USD 2,361(AED 8,669)
  3. Service charge, 742 sq ft−USD 2,869(AED 10,536)
  4. Letting and management, 5% of rent−USD 1,534(AED 5,635)
  5. Net incomeUSD 23,924(AED 87,860)

5.4%Net yieldUSD 23,924(AED 87,860) on an asking price of USD 441,116(AED 1,620,000)

See the assumptions
Gross rent
Six comparable lettings in the delivered tower, last nine months
Void, four weeks a year
Base case allowance
Service charge, 742 sq ft
2026 budget, delivered tower
Letting and management, 5% of rent
Assumed for this sample
Net income
5.4% of the asking price, base case

Three named risks: supply, delivery, and the service charge.

Two carry a mitigation. Supply stays an open question until the first wave lets, and it is the downside case.

  1. Supply

    Open question

    About 1,900 units completing in Business Bay in 2027 and 2028, in the same segment.

    Effect and response
    Possible effect
    Rent below the comparables and a slower first letting; the downside case.
    What we watch
    Whether absorption holds its recent pace through the first wave.

  2. Delivery

    Mitigation

    A slip past the stated quarter.

    Effect and response
    Possible effect
    The first rent a year later while the payment plan continues.
    Our response
    Handover terms in the sale agreement, and the developer's record on the last two towers.

  3. Service charge

    Mitigation

    A budget a fifth above the delivered tower.

    Effect and response
    Possible effect
    About one point off the net yield.
    Our response
    Modelled on the delivered tower's budget, not the estimate; to be confirmed at handover.

Moderate confidence.

Six lettings is enough to model on and not enough to be sure of. All lettings within the last nine months; transactions to 31 August 2026.

What the word means: moderateEnough to model on and not enough to be sure of. The sources are named and recent, and what they cannot tell us yet is written down beside them.

What we know

  • Six comparable lettings in the delivered tower
  • DLD transaction records for the community
  • The developer's price list, plan and handover notices
  • The delivered tower's 2026 service-charge budget

What we do not yet know

  • Six lettings is enough to model on and not enough to be sure of
  • No service-charge budget exists yet for this tower
  • The upside case is not evidenced in this sample

What would change the view

Would move confidence to high:

  • A further quarter of lettings in the delivered tower
  • The developer's own budget for this tower

The view is revisited if the 2027 launch pipeline grows.

View all sources

  • Asking priceUSD 441 K (AED 1.62 M)

    Source
    Developer price list
    Dated
    22 Aug 2026

  • Layout and area1 bed, 742 sq ft, mid floor

    Source
    Sale agreement plan
    Dated
    Undated

  • TenureFreehold, one allocated parking space

    Source
    Sale agreement
    Dated
    Undated

  • Stated handoverQ3 2028

    Source
    Developer
    Dated
    22 Aug 2026

  • Service charge3.87 USD / sq ft (AED 14.20) per year

    Source
    2026 budget of the delivered tower
    Dated
    2026
    Gap
    No service-charge budget exists yet for this tower

  • Developer delivery recordFirst tower delivered within four months of its stated date

    Source
    Handover notices
    Dated
    2025

  • Gross rentUSD 30,688(AED 112,700)

    Source
    Six comparable lettings in the delivered tower
    Dated
    Last nine months
    Gap
    Six lettings is enough to model on and not enough to be sure of

  • Void, four weeks a year−USD 2,361(AED 8,669)

    Source
    Base case allowance
    Dated
    Undated

  • Service charge, 742 sq ft−USD 2,869(AED 10,536)

    Source
    2026 budget, delivered tower
    Dated
    2026

  • Letting and management, 5% of rent−USD 1,534(AED 5,635)

    Source
    Assumed for this sample
    Dated
    Undated

  • Absorption, last twelve monthsRan ahead of the scheduled supply, but not by much

    Source
    DLD transaction records for the community
    Dated
    Transactions to 31 August 2026

  • Upside net yield6.0%

    Source
    Not stated in this sample
    Dated
    Undated
    Gap
    The upside case is not evidenced in this sample

JH-2588 · Management reviewManagement view

For rental income at this price, we would proceed.

The comparables are recent and in the same building, the charge is taken from a delivered budget, and the downside case still clears four per cent net.

Confidence
Moderate
Scope
Rental income only

Conditions

  1. Handover terms confirmed in the sale agreement before exchange.
  2. The view is revisited if the 2027 launch pipeline grows.

Reviewed and signed

Mansoor Charaniya

The property and its figures are illustrative. They show what an evaluation contains; they are not a property for sale, a current price or advice on either.

Bring us a property.

Tell us what you are considering and what you need the investment to do. We will tell you where we would start.

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